An executive for the cosmetics company Urban Decay has been accused of stealing more than $1 million through bank transfer transactions between the business and fraudulent accounts he created. He is facing felony charges for the allegations.
Irvine resident Ranjeet Reddy Paladugo holds a position as the vice president of finance at the Newport Beach based company Urban Decay. He is suspected of utilizing several banks in order to create fake accounts, which were similarly named after business affiliates of the company, in order to embezzle funds that he transferred from Urban Decay. On July 17 he allegedly stole over $1 million from Urban Decay.
Paladugo purportedly commissioned a transaction in the amount of $598,500 which he transferred through one of the phony accounts. He then transferred that money into his personal bank account. This procedure was repeated again in the same amount, and routed through a second bogus business account. Paladugo is said to have used the stolen money for personal use, including the down payment on a house.
It is reported that after several weeks passed Paladugo reversed the second transaction and moved it back into an Urban Decay account. Financial officials noticed questionable activity in banking statements and local law enforcement was notified.
40-year-old Paladugo was taken into custody by Newport Beach Police on Tuesday. On Thursday he was charged with felony grand theft and money laundering. Special sentence enhancements have been added for aggravated white-collar crime over $500,000 and property loss of more than $200,000. He is being held at Central Men’s Jail and his bail is set at $1.2 million.
Paladugo declined to enter a plea, and he is awaiting a scheduled court date of December 12 at the Harbor Justice Center. If convicted of all charges he could receive a sentence of up to 13 years and four months in prison.
If you or someone you love is suspected of a theft crime, contact Orange County criminal defense lawyer Staycie R. Sena at (949) 477-8088 for a consultation now.